Specifically, the panelists discussed trends in the filings of securities class actions in Canadian courts and recent case law affecting the rights of plaintiffs bringing securities class actions. The panelists focused on comparing certain substantive differences in Canadian and American law governing securities class actions, including: (1) caps that apply to limit the liability of Canadian directors and officers in certain contexts; (2) the ability of Canadian investors to obtain discovery before substantive motions to dismiss; and, (3) the ability of plaintiffs to force defendants to produce their D&O policies at the outset of litigation.
Panelists also discussed the impact of Bill 198, which became effective in December 2005, and which provides for regulation of securities in the province of Ontario (this bill is sometimes referred to as the Canadian Sarbanes Oxley Act). Bill 198 introduced a statutory and secondary market civil liability regime in Ontario law. In this regard, the panelists discussed the well-publicized IMAX decisions of the Ontario Superior Court of Justice, issued in December 2009, which are the first decisions to test certain key aspects of Bill 198.